Energy efficiency projects hit highs and lows

A record number of energy efficiency projects were commissioned between July and September last year, reveals new analysis from EEVS and Bloomberg New Energy Finance.

The report, ‘Energy Efficiency Trends’, shows that more than 80 per cent of survey respondents confirmed they had authorised new efficiency programmes in the third quarter of 2015, the highest figure of any single quarter since the paper was first published in 2012.

High efficiency lighting projects were the most implemented, with just under 60 per cent of respondents having commissioned projects, with approximately 50 per cent supporting lighting control developments, while boiler, solar, behavioural change and building energy management system (BEMS) initiatives all implemented by between 20 and 40 per cent of those surveyed.

However the paper also highlights a drop in its ‘market monitor’, which combines trends in supplier order books, staffing levels, sale prices and government action, with energy efficiency suppliers citing customer demand and policy and subsidy uncertainty as their primary concerns.

Ian Jeffries, Head of Performance Management at EEVS, believes the quarterly market results indicate “a tale of two sectors.”

"On the one hand we have bullish consumers reporting an upbeat set of results and, in particular, an 82% commissioning rate for new energy saving products and services,” he said.

"On the other hand, this buoyancy has not trickled down to our supplier respondents that posted a largely downbeat set of results driven by flat domestic sales and continued concerns over future demand, alongside what is increasingly felt to be an unsupportive policy and regulatory landscape.

"Taken together, while bearing in mind the wider macro-economic picture and major global uncertainties that will also influence respondents, it is clear that there is a raft of business uncertainties to deal with. Now could be a good time to be on the consumer side of the tracks."

David Lewis, marketing manager of energy efficiency at Schneider Electric, added: "It is clear from this report that uncertainty around subsidies and policies exists and this remains a key challenge for the energy efficiency industry.

“More than this, however, it supports the argument for greater education of existing personnel within organisations, and improved optimisation of existing energy assets, alongside capital investment in technologies and services.

“In order to successfully fuel continued growth in energy efficiency projects, suppliers must enable greater use of information across their products and services, ensuring that businesses are equipped to make better decisions of an investment or operational nature when it comes to energy consumption."

EEVS and Bloomberg New Energy Finance are calling for directors within energy efficiency supply organisations, along with people responsible for reducing energy consumption within businesses, to provide information for the ‘Energy Efficiency Trends’ survey. For more information on how to apply visit the survey website.